Page 121 - RusRPTJun21

company’s lack of interest in higher shipments comes despite a demonstrably tight gas market in Europe is understandable. Not sending additional gas to Europe increases the likelihood of a relatively tight market going into the winter heating season. European gas price reacted accordingly after yesterday’s announcement, rising c6% to $9.4/mcf ($333/mcm).
A read-across to Nord Stream-2: A tight European gas market would also help Gazprom convince European regulators to allow Nord Stream-2 to begin operations promptly once its construction is finished by in early autumn.
Germany doubled its purchases of gas from Russia in March 2021, according to the Russian Federal Customs Service data, TASS reported.
In March, Germany increased Gazprom’s gas supplies by 66.3% compared to March 2020, to 4.44bn cubic meters. In February 2021, purchases of Russian gas by Germany grew at the same rate.
Italy placed second in terms of purchases of Russian pipeline gas in the European Union in March and bought 1.28bn cubic meters of gas (a decrease of 41.5% in annual terms, but an increase of 467% in monthly terms).
The third place belongs to France, which purchased 1.1bn cubic meters of gas (an increase of 15.14% in annual terms and 29.42% in monthly terms).
Serbia increased gas purchases at a rapid pace in March 2021, receiving 245.5mn cubic meters (an increase of 138% in annual terms and 2.86% in monthly terms), Bulgaria, which imported 269.8mn cubic meters of Russian gas (an increase of 51.41% in annual terms and 24.48% in monthly terms), and Hungary, which bought 763.7mn cubic meters of gas (an increase of 31.6% in annual terms and 42.58% in monthly terms).
Greece in March this year increased gas supplies from Russia by 35.9% compared to March 2020, to 276.1mn cubic meters. In comparison with February 2021, this figure increased by 22.5%. Bulgaria, Hungary, Greece and Serbia are rapidly increasing the pace of purchases of Russian gas since the beginning of 2021, according to data from the Federal Customs Service.
Russian gas supplies to Belarus in March 2021 increased by 9.8% in annual terms, to 1.967bn cubic meters. This figure corresponds to the volume of Russian gas supplies in February 2021.
Europe’s gas storage is 31.3% full, near a record low for mid-May. Per data on the website of Gas Infrastructure Europe (GIE) and as shown in the chart below, current storage levels are well below a normal level of c46%, far below the 67% seen this time last year, and very close to the record low level of 30.6% seen in 2018.
121 RUSSIA Country Report June 2021 www.intellinews.com